Ukrainian govt approves 2 banks to raise up to 30 mln euros from EIB

MOSCOW. May 13 (Interfax) - The Ukrainian government has approved the attraction of up to 30 million euros from the European Investment Bank (EIB) by Ukrgasbank and ProCredit Bank, Prime Minister Denis Shmygal said.

"Today, we will make a decision that will allow the two Ukrainian banks to raise up to 30 million euros from the European Investment Bank. These funds will be used to support Ukrainian small and medium-sized businesses by improving conditions for preferential lending," Ukrainian media quoted him as saying at a government meeting last Friday.

The draft letters from the Ukrainian government to the EIB regarding the confirmation of the proposals on funding the Ukrgasbank Guarantee Program and ProCredit Bank Guarantee Program projects by the said bank being within the scope of the Framework Agreement between Ukraine and the EIB dated June 14, 2005 have been approved, government's representative in the Verkhovna Rada Taras Melnichuk said.